Frederik apparently revealed to his colleagues that he and Mary have owned the villa for the last 10 years and rent it out when they are not there, but according to law the Danish royals must get approval before purchasing assets with their public allowance.
The Danish far-left parliamentarian party Enhedslisten reportedly hit out at the couple for keeping the fact they own such a lavish property quiet.
Member of Parliament Mai Villadsen told Danish media: “I was very surprised when I found out that the family does not just have such a house, they have had such a house for 10 years, without any ordinary Danes knowing about it.
“We are the ones who pay the money so we must know about the house,” Mai said.
The Danish royal family reportedly initially refused to comment on the matter, saying the villa was a “private matter”, but Mai refuted the claim.
“I find it very difficult to see that a royal estate can be a private matter. To my knowledge, the appanage has just increased,” Mai said.
Following the backlash, the Royal Court issued an official statement, which stated Frederik and Mary will no longer accept revenue for the ski lodge by renting it out when they aren't using it, due to concerns over safety and privacy.
The statement also reiterated that everything to do with the private villa is paid for by the royal couple’s personal finds.
The backlash comes after it was revealed in January that Mary and Frederik’s children will be attending the Lemania-Verbier International School in Switzerland in Spring.
The royal couple are the parents of Prince Christian, 14, Princess Isabella, 12, Prince Vincent, nine, and Princess Josephine, also nine.